Inland Real Estate Group Buys in Minnesota
Cushman & Wakefield represented a joint venture of The Waters Senior Living, Harrison Street Real Estate Capital and North Rock Real Estate in arranging the sale of The Waters on Mayowood, a 175-unit independent living, assisted living and memory care community in Rochester, Minnesota. The property was sold earlier in February for a total of $67.3 million, or just under $385,000 per unit. Inland Real Estate Group, one of the nation’s largest real estate and finance groups, is acquiring Mayowood and will retain The Waters to manage the community. The property was originally constructed in 2015 and has performed well since opening, averaging over 96% occupancy since January 2018.... Read More »
MBK Buys Former Surpass Senior Living Community
We learned that in November, MBK Senior Living acquired an 83-unit assisted living community in Gilbert, Arizona: Mariposa Point of Gilbert, which will now operate as Sky Ridge. The close of this sale doubles the company’s footprint in the Phoenix MSA in less than a year, where MBK owns and operates six communities. The seller, Texas-based McFarlin Group, opened the community in 2017 as its first Surpass Senior Living property in the state of Arizona. Comprising 65,000 square feet, the Mariposa Point cost around $18 million to develop, with financing provided in part by Piper Jaffrey & Co. This property was part of a series of four Surpass communities which were constructed by... Read More »
Solera and Wheelock Joint Venture in Virginia
A Williamsburg, Virginia senior living community was acquired by a joint venture between Solera Senior Living and Wheelock Street Capital with the help of financing arranged by CBRE National Senior Housing. Built in 2017, the community features 62 assisted living and 21 memory care units with a host of amenities. It was previously owned by Virginia-based developer Robertson Liebler, which was represented by the Berkadia team of Brooks Minford and Tim Cobb in the late-2021 sale. CBRE’s Aron Will, Austin Sacco and Tim Root secured a $16.95 million through Freddie Mac’s Optigo lending platform. The loan came with a seven-year term, four years of interest only and a floating... Read More »
MidCap Refinances Georgia Community
MidCap Financial took out construction debt on a recently completed senior living community in Gainesville, Georgia with a new floating-rate mortgage. Owned by Manor Lake Development LLC, the community opened in 2019 with 88 assisted living and memory care units. It features studio, one-bedroom and companion suites ranging from 421 to 558 square feet. Residents can also receive rehabilitation services, instructor-led daily exercise, concierge services and more. The property leased up quickly under management by Manor Lake. JLL Capital Markets’ Joel Mendes and Trent Niederberger worked on behalf of the borrower to secure the $18.5 million loan from MidCap, which came with a floating... Read More »
60 Seconds with Swett: Skilled Nursing to Behavioral Health Conversions
Reports of the skilled nursing industry’s death have been greatly exaggerated, but plenty of facilities will not survive the pandemic. These are, for the most part, 50 or 60-year old facilities with few private rooms, significant capex needs and mostly Medicaid census that makes them far less profitable, if at all, amid higher labor expenses. So, many will shut their doors for good, but owners may also start to explore other uses for the facilities. Increasingly, that may be behavioral health, which has rising demand post-pandemic, higher rates and better lease coverage than the SNF business. In their latest earnings reports, a couple of companies announced new behavioral health... Read More »
Sabra Issues Business Update
This difficult winter is sparing few owners and operators in terms of occupancy and labor expenses. So, Sabra Health Care REIT was not alone in its latest quarterly earnings report, and in fact, things could have been worse. First, Sabra entered into a definitive agreement to amend its master lease with Avamere, effective February 1. This reduced annual based rent by roughly 30% to $30.7 million, or an annual run rate reduction of $0.06 per diluted common share. As a condition to the amendment, Avamere has paid past due rent for December 2021 totaling $3.6 million and has agreed to pay January 2022 rent totaling $3.7 million by March 25, 2022. Sabra does have the opportunity to recapture... Read More »
Walker & Dunlop Hire Dedicated Housing Expert in Southern California
Walker & Dunlop, Inc. has hired Gideon Orion as Managing Director on its investment sales platform. Most recently working for Blueprint Healthcare Real Estate Advisors, Mr. Orion is based in Los Angeles and will join the firm’s national seniors housing property sales team led by Managing Director Joshua Jandris. Mr. Orion will be focused on originating and executing seniors housing property sales opportunities across the United States. He has a strong track record and brings additional skill to Walker & Dunlop’s seniors housing sales team, in addition to expanding the firm’s existing footprint in Southern California. In fact, Mr. Orion represents the first dedicated... Read More »Front Doors Open at Fairfield County Community
EPOCH Senior Living and National Development announced the opening of Waterstone on High Ridge, a hotel-style community for seniors featuring independent living, assisted living and memory care with a full array of high-end amenities and services. After nearly two years under construction, the community will open to residents this month. Located in Stamford, Connecticut on a wooded campus next to a conservation area, the property features 146 units broken into 88 independent living, 36 assisted living, and 22 memory care units. All-inclusive monthly fees for independent living start at $8,950 for a one-bedroom apartment, at $10,500 for a one-bedroom assisted living apartment, and at $8,750... Read More »
Ventas Announces Q4 Earnings
Ventas announced its quarterly and annual earnings report, and we were interested to learn that the REIT has acted on nearly two-thirds of its seniors housing portfolio via acquisition, disposition, development, lease resolution or operator transaction since 2020. The pandemic spared few communities, so that level of portfolio management really required all hands on deck. And the pain isn’t over for many properties, unfortunately, with more distress almost certainly set to hit the market in 2022. That will mean even more dispositions, value-add acquisitions and lease/operator restructurings from Ventas. Activity in 2021 included nearly $2.6 billion in acquisitions of independent... Read More »Just Released M&A Stats: Where Have Senior Care Values Settled?
On February 17, Ben Swett, Editor of The SeniorCare Investor, hosted our annual webinar covering the latest proprietary M&A statistics from the previous year. He was joined by panelists Dan Revie of Ziegler, Dan Lahey of LCS Real Estate and Yitzy Rosenblum of Cascade Capital Group to discuss what happened in 2021, where values settled more than a year after the pandemic, and what buyers, sellers and operators can expect for 2022 and beyond. The full picture will be presented in our Senior Care Acquisition Report, 27th Edition, to be released soon. First, the panel reflected on 2021. And what a year 2021 turned out to be, with 443 publicly announced deals closed and the busiest December... Read More »Schedule a demo
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